{"id":174634,"date":"2023-10-15T23:15:49","date_gmt":"2023-10-15T17:45:49","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=174634"},"modified":"2023-10-15T23:15:49","modified_gmt":"2023-10-15T17:45:49","slug":"will-curve-find-breathing-space-in-the-crowded-lst-sector-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/will-curve-find-breathing-space-in-the-crowded-lst-sector-crypto-news\/","title":{"rendered":"Will Curve find breathing space in the crowded LST sector? &#8211; Crypto News"},"content":{"rendered":"<p><\/p>\n<div>\n<br style=\"clear: both;float: none\" \/><\/p>\n<ul>\n<li><em>The Liquid Staking Finance (LST) sector saw increased competition and growth.<\/em><\/li>\n<li><em>Curve Finance adapted to competition but faced challenges with developer numbers and token dynamics.<\/em><\/li>\n<\/ul>\n<p>The Liquid Staking Finance (LST-fi) sector is undergoing substantial changes, with <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/search\/Curve\" data-wpel-link=\"internal\">Curve Finance [CRV]<\/a> navigating the rising tides of competition.<\/p>\n<hr \/>\n<p style=\"text-align: center\">Is your portfolio green? Check out the <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/calculator\/curve-dao-token-profit-calculator\" data-wpel-link=\"internal\">CRV Profit Calculator<\/a><\/p>\n<hr \/>\n<p>As more participants enter the liquid staking space and established protocols make improvements, the market has become highly competitive.<\/p>\n<h4>Looking at the LST sector<\/h4>\n<p>In October 2023, the LST-fi sector displayed interesting dynamics. Approximately 23% of Ethereum\u2019s total value was staked, amounting to $17.51 billion out of $186 billion.<\/p>\n<p>Within this, 4.1% of the staked assets found a home in LST-fi, totaling $724 million. These figures indicated an area with vast potential, poised for exponential growth, potentially up to 257 times its current state, according to DeFi mochi\u2019s data.<\/p>\n<p>Despite a general slowdown in Total Value Locked (TVL) growth on a protocol level over the past month, the LST-fi sector displayed resilience. New market entrants contributed to the sector\u2019s expansion, adding around $200 million in TVL.<\/p>\n<div id=\"attachment_351026\" style=\"width: 1113px\" class=\"wp-caption aligncenter\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/F8aKdDkaUAANRsV.png\" data-wpel-link=\"internal\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-351026\" class=\"size-full wp-image-351026\" src=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/F8aKdDkaUAANRsV.png\" alt=\"\" width=\"1103\" height=\"492\" \/><\/a><\/p>\n<p id=\"caption-attachment-351026\" class=\"wp-caption-text\">Source: Dune Analytics<\/p>\n<\/div>\n<h4>New entrants and old<\/h4>\n<p>Eigenlayer, a newcomer, managed to secure an impressive 28.7% market share in just four months. With a valuation of $500 million in its most recent funding round, it effectively established itself as a key player in restaking ETH.<\/p>\n<p>Its TVL surpassed that of LybraFinance V2, which maintained its dominance in the LST-fi sector with over $200 million TVL, outpacing competitors like Raft Finance and Prisma Finance.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">State of LST-fi (October 2023)<br \/>\u2014\u2014\u2014\u2014\u2014\u2014\u2014\u2014\u2014\u2014\u2014\u2014-<\/p>\n<p>Eth staked: 23% ($17.51B of $186B)<br \/>LSTs used in LST-fi : 4.1% ($724m of $17.51B)<br \/>Potential growth of sector: 257x<\/p>\n<p>The LST-fi landscape has changed dramatically over the past 2 months with new competitors\u2026 <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/1RPEHRnHAR\" data-wpel-link=\"external\">pic.twitter.com\/1RPEHRnHAR<\/a><\/p>\n<p>\u2014 Defi_Mochi (@defi_mochi) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/defi_mochi\/status\/1713209438847578499?ref_src=twsrc%5Etfw\" data-wpel-link=\"external\">October 14, 2023<\/a><\/p>\n<\/blockquote>\n<p>The competitive dynamics in the LST-fi sector were further evident through the decline in Raft Finance\u2019s stablecoin dominance to a mere 6.8% TVL in September. This fall coincided with the launch of Lybra V2 and Prisma Fi.<\/p>\n<p>Prisma Finance, while maintaining a 17.8% market share, has faced certain challenges due to capital constraints. In contrast, Libra\u2019s $eUSD and $peUSD tokens have gained a strong foothold, representing over 64% of the entire LST-fi CDP market.<\/p>\n<p>Additionally, crvUSD experienced sustained growth by drawing TVL with strong support from Curve Finance\u2019s ecosystem.<\/p>\n<hr \/>\n<p style=\"text-align: center\">Realistic or not, here\u2019s <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/calculator\/marketcap\" data-wpel-link=\"internal\">CRV\u2019s market cap in BTC\u2019s terms<\/a><\/p>\n<hr \/>\n<h4>State of Curve<\/h4>\n<p>Consequently, Curve Finance\u2019s revenue surged by 50.1% over the past month. However, a decline in the number of core developers working on the platform by 30.33% during the same period is a cause for concern, as it may pose challenges to the protocol\u2019s continued growth.<\/p>\n<p>The CRV token itself witnessed a decrease in price over the past month, prompting questions about investor sentiment. Furthermore, the decline in whale interest in CRV, as indicated by the reduction in the percentage of top addresses holding CRV, raised additional concerns.<\/p>\n<div id=\"attachment_351028\" style=\"width: 2570px\" class=\"wp-caption aligncenter\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/Curve-on-Ethereum-CRV-14.59.18-15-Oct-2023.png\" data-wpel-link=\"internal\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-351028\" class=\"size-full wp-image-351028\" src=\"image\/svg+xml,%3Csvg%20xmlns=\" alt=\"\" width=\"2560\" height=\"867\" data-lazy-srcset=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/Curve-on-Ethereum-CRV-14.59.18-15-Oct-2023.png 2560w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/Curve-on-Ethereum-CRV-14.59.18-15-Oct-2023-300x102.png 300w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/Curve-on-Ethereum-CRV-14.59.18-15-Oct-2023-1024x347.png 1024w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/Curve-on-Ethereum-CRV-14.59.18-15-Oct-2023-768x260.png 768w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/Curve-on-Ethereum-CRV-14.59.18-15-Oct-2023-1536x520.png 1536w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/Curve-on-Ethereum-CRV-14.59.18-15-Oct-2023-2048x693.png 2048w\" data-lazy-sizes=\"(max-width: 2560px) 100vw, 2560px\" data-lazy-src=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/Curve-on-Ethereum-CRV-14.59.18-15-Oct-2023.png\" \/><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-351028\" class=\"size-full wp-image-351028\" src=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/10\/Curve-on-Ethereum-CRV-14.59.18-15-Oct-2023.png\" alt=\"\" width=\"2560\" height=\"867\" \/><\/a><\/p>\n<p id=\"caption-attachment-351028\" class=\"wp-caption-text\">Source: Santiment<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Liquid Staking Finance (LST) sector saw increased competition and growth. Curve Finance adapted to competition but faced challenges with developer numbers and token dynamics. The Liquid Staking Finance (LST-fi) sector is undergoing substantial changes, with Curve Finance [CRV] navigating the rising tides of competition. Is your portfolio green? Check out the CRV Profit Calculator [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":174635,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[230,225,221,227,226,228,229,60,223,224,222],"class_list":["post-174634","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-brave","tag-coinbase","tag-crypto","tag-decentralised","tag-decentralized","tag-decentralized-exchange","tag-erc-20","tag-featured","tag-meme-coin","tag-robinhood","tag-solana"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/174634","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=174634"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/174634\/revisions"}],"predecessor-version":[{"id":174637,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/174634\/revisions\/174637"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/174635"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=174634"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=174634"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=174634"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}